Small/Mid Cap Equity Fund

The Small-Mid Cap Equity Fund from State Farm® may be of interest to investors seeking long-term growth and can tolerate price fluctuations, especially those whose retirement and other goals are years in the future. For more information, please contact your State Farm agent.

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Overview

Investment Objective

Seeks long-term growth of capital.

Who Should Invest?

You may want to invest in this Fund if you can tolerate the price fluctuations and volatility that are inherent in investing in a broad based small-capitalization or mid-capitalization stock mutual fund, want to diversify your investments, are seeking a growth investment as part of an asset allocation program, and/or are investing for retirement or other goals that are many years in the future.

Fund Resources

Risk Spectrum

Stock prices may fluctuate widely over short or even extended periods in response to company, market, or economic news. Stock markets also tend to move in cycles, with periods of rising stock prices and periods of falling stock prices.

The securities of smaller companies are often more difficult to value or dispose of, more difficult to obtain information about, and more volatile than stocks of larger, more established companies. In addition, the markets for the fund's investments may not be actively traded, which increases the risk that the fund manager may have difficulty selling securities the fund holds.

Foreign securities are subject to special risks. Foreign issuers are usually not subject to the same accounting and disclosure requirements that U.S. companies are subject to, which may make it difficult for the Fund to evaluate a foreign company's operations or financial condition.

* Benchmark since inception return corresponds to funds with an inception date of 05/01/06. Benchmark measurement period may not align with share classes with other inception dates.

Investment return and principal value will fluctuate and your investment, when redeemed, may be worth more or less than its original cost. Past performance is no guarantee of future results. Recent performance may be less than the figures shown. Obtain total returns current to the most recent month-end by calling our Mutual Funds Response Center at 800.447.4930.

Total returns are the compounded rate of change in value during a period of investment, including the value of shares acquired through reinvestment of all dividends and of all capital gain distributions for the period. These figures are based on an investment at the beginning of the period through the end of the period and reflect all applicable fees and expenses, including a maximum sales charge of 3% for Legacy A shares and maximum contingent deferred sales charges for Legacy B shares of 3%. For Class A and B shares, figures are based on a maximum sales charge of 5% for Class A shares and maximum contingent deferred sales charges on Class B shares of 5%. Class R shares do not include a sales charge. There is no sales charge or 12b-1 fee associated with Institutional Class Shares. NAV Total Return does not reflect the deduction of the sales charge.

Note: Legacy A shares are only available to shareholders with account registrations established prior to 5/01/06. Legacy Class B and Class B shares are no longer available for new purchases beginning 5/01/15.

State Farm Investment Management Corp., the investment adviser for each fund, has voluntarily agreed to reimburse each fund for certain annual operating expenses. This agreement may be eliminated at any time.

Fund Composition

Fund Composition as of: 3/31/2015

The fund data below is as of quarter end unless otherwise noted.

Top 10 Holdings

Company Name

Amount Held

NXP Semiconductors NV

1.48%

Southwest Airlines Co.

1.16%

Mohawk Industries Inc.

1.13%

Tyson Foods, Inc. CL A

1.10%

Eagle Materials Inc

1.08%

PrivateBancorp Inc.

1.04%

Hawaiian Holdings Inc

0.96%

Mednax, Inc

0.90%

Catamaran Corp

0.88%

Corporate Office Properties Tr

0.87%

Total

10.60%

Fees & Features

Fund Fees, Expenses, and Charges

Below you will find the fees associated with this fund, as well as the Maximum Sales Charge and Total Annual Expenses.

Class A

Maximum Account Fee

(For certain accounts with balances below $5,000, a quarterly account fee of $10 may be charged.)

$0

Minimum Initial Investment

(does not apply to Tax Qualified Transfer or Rollover money)

$1,000

Minimum Additional Investment
(per Fund, per Transaction)

$50

Maximum Sales Charge

5.00%

Capital Gains Distribution

May be Annually

Dividend Distribution

May be Annually

Gross Expense Ratio

1.42%

Net Expense Ratio

1.42%

Fund Management

Our Objective

Our main objective is to make each of our 15 State Farm Mutual Funds® a highly competitive and rewarding long-term investment for our shareholders.

State Farm Mutual Funds shareholders can feel confident that their investments are being managed in a responsible, conservative, and cost-effective manner consistent with a long-term perspective.

Our Investment Advisors

We use an investment management structure that capitalizes on the unique strengths, focused attention, and knowledge of seasoned investment professionals in our internal investment department. Because we offer a wide variety of funds, some outside the core knowledge of our internal investment department, we also have seven other highly respected asset management organizations working for you.

The fundamental premise that drives Bridgeway Capital Management Inc.'s investment philosophy is that long-term, market-beating performance can best be achieved through a strict adherence to quantitative methods in the selection of stocks and management of portfolios.

Quick Facts

Bridgeway Capital Management Inc. was founded in 1993.

The firm ascribes to four business values: integrity, investment performance, cost efficiency, and service.

Mutual Funds Disclosure

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact State Farm VP Management Corp (800-447-4930) for a prospectus or summary prospectus containing this and other information. Read it carefully.

General

Automatic investment plans do not assure a profit or protect against loss.

State Farm VP Management Corp. is a separate entity from those State Farm entities which provide banking and insurance products.

As of June 2, 2010, additional fees may apply to certain accounts with balances less than $5000.

Each State Farm LifePath Fund invests all of its assets in a corresponding LifePath Master Portfolio under a master/feeder structure. BlackRock Fund Advisors ("BFA") is the investment advisor to the LifePath Master Portfolio. State Farm Investment Management Corp. (SFIMC) is the investment advisor to the State Farm LifePath Funds. State Farm VP Management Corp. (SFVPMC) is the distributor of the State Farm LifePath Funds. Neither SFIMC nor SFVPMC are affiliated with BFA or its affiliates.

The FTSE EPRA/NAREIT Developed Real Estate ex-U.S. Index is designed to measure the stock performance of companies engaged in specific real estate activities of the real estate markets outside of the United States.

The FTSE EPRA/NAREIT Developed Real Estate Index is designed to measure the stock performance of companies engaged in specific real estate activities of the North American, European, and Asian real estate markets.

The Morgan Stanley Capital International Europe, Australasia and Far East Free (EAFE® Free) Index currently measures the performance of stock markets of Europe, Australia, New Zealand, and the Far East.

The MSCI All Country World Index (ACWI) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets.

The MSCI All Country World Index (ex-U.S.) (MSCI ACWI ex-U.S. Index) is a free float-adjusted market capitalization index that is designed to measure equity market performance in global developed and emerging markets, excluding the United States.

The Credit Suisse High Yield Index is designed to mirror the investible universe of the U.S. dollar-denominated high yield debt market.

The New York Stock Exchange is considered the largest equities-based exchange in the world based on total market capitalization of its listed securities.

The Nikkei 225 Index is a price-weighted index comprised of Japan's top 225 blue–chip companies on the Tokyo Stock Exchange.

The Blended Benchmark for the Equity and Bond Fund is a combination of 60% of the S&P 500 Index and 40% of the Barclays U.S. Aggregate Bond Index, rebalanced monthly.

The Blended Benchmark for the LifePath Funds is a combination of the holdings in the Barclays U.S. Aggregate Bond Index, Russell 1000 Index, Russell 2000 Index, MSCI ACWI ex-U.S. IMI Index, Dow Jones-UBS Commodity Index, FTSE EPRA/NAREIT Developed Real Estate Index and Barclays U.S. TIPS Index. The weightings of the indices are adjusted quarterly to reflect the funds' changing asset allocations over time.

Trademarks

iShares, LifePath and LifePath followed by 2020, 2030, 2040 and 2050 are all registered trademarks of BlackRock Institutional Trust Company, N.A.

"S&P 500®" is a trademark of The McGraw-Hill Companies, Inc. and has been licensed for use by the State Farm Mutual Fund Trust. The State Farm S&P 500 Index Fund (the "Fund") is not sponsored, endorsed, sold or promoted by Standard & Poor's, and Standard & Poor's makes no representation regarding the advisability of investing in the Fund.

Russell Investment Group ("Russell") is the source and owner of the trademarks, service marks and copyrights related to the Russell 2000® Index. Russell® is a trademark of Russell. The State Farm Small Cap Index Fund (the "Fund") is not sponsored, endorsed, sold or promoted by, nor in any way affiliated with Russell. Russell is not responsible for and has not reviewed the Fund nor any associated literature or publications and Russell makes no representation or warranty, express or implied, as to their accuracy, or completeness, or otherwise.

The EAFE® Free Index is a trademark, service mark and the exclusive property of Morgan Stanley Capital International, Inc. ("MSCI") and its affiliates and has been licensed for use by the State Farm Mutual Fund Trust (the "Trust"). The State Farm International Index Fund (the "Fund"), based on the EAFE® Free Index, has not been passed on by MSCI as to its legality or suitability, and is not issued, sponsored, endorsed, sold or promoted by MSCI. MSCI makes no warranties and bears no liability with respect to the Fund. MSCI has no responsibility for and does not participate in the management of the Fund assets or sale of the Fund shares. The Trust's Statement of Additional Information contains a more detailed description of the limited relationship MSCI has with the Trust and the Fund.

Non-US Residents

Each of the investment products and services referred to on the State Farm Mutual Funds web site is intended to be made available to customers or prospective customers residing in the United States. The customer's U.S. permanent residence address must be a street address. This web site shall not be considered a solicitation or offering for any investment product or service to any person in any jurisdiction where such solicitation or offer would be unlawful.

Business Continuity Plan

State Farm VP Management Corp. has developed a Business Continuity Plan on how we will respond to events that significantly disrupt our business. Since the timing and impact of disasters and disruptions is unpredictable, we will have to be flexible in responding to actual events as they occur. With that in mind, download this information on our business continuity plan [PDF-19.5KB].